the indian dairy industry overview

8/3/2019 The Indian Dairy Industry Overview

1/23

An Overview Series 1


2/23


3/23

QuestionsyWhat is the size of the dairy market in India ?

y Overall 140,860 billion dollar market in 2011 , 92627 in

2008 and 67575 in 2005yWhat are the products in the market ?

y Traditional Indian Milk Products

y a)Heat desiccated products

y

Kulfi , Rabri , Basundi , Khoay b)Acid heat coagulated products

y Paneer , Channa ( Rosogolla , Sandesh , Pantua ,Rasmalai etc)


4/23

Traditional Productsy c)Fat Rich Products

y Ghee , Makkhan , Malali

y d)Cultured Productsy Dahi , Mishti doi , Lassi , Chhach , Mattha

y e)Milk based pudding / desserts

y Kheer , Payasam , Phirni , Sohan Halwa , Cashew Burfi


5/23

Market Sizey Overall 140,860 Aus billion dollar market in 2011 ,

92627 in 2008 and 67575 in 2005

y

In 2011 ,y liquid milk expected to be 30%

y ghee 10%

y khoa/chhana/paneer 12%

y

table butter + cheese 2 %y milk powder

1%

y ethnic sweets /fermented products/icecream 45 %


6/23

Universal Products


7/23

Universal Products

y Universal Products

y a)Cheesey b)Ice Cream

y c)Yoghurt

y d)Table Butter

y e) Milk Powder


8/23

Milk BasicsyWhat is the demand /supply of milk ?

y Rural production 98%

y 36% consumed at homey 64% sold (82% sold to urban markets )

y Total consumption in Rural area 49.9 MT

y Urban production 2%

y Total consumption in Urban Area 56.6 mt

y Informal 57% ; Cooperative 18% ; Private 25%


9/23

Universal Productsy Universal Products

y a)Cheese

y b)Ice Creamy c)Yoghurt

y d)Table Butter

y e) Milk Powder

y How is the industry classification done ?

yAs Traditional Milk Products & Universal Products


10/23

Milk BasicsyWhat is the size of various products ?

y 50% of milk produced goes into traditional products

y Traditional products constitute 95% of total milkproducts consumed


11/23

Milk Producers in Indiay Which are the Top 10 dairies in Milk (000 lpd)y MotherDairy 2500y DudhsagarDairy 1950

y DynamixDairy 1500y Amul Dairy 1450y Banas 1000y Mother ,Delh 1000y Ved Ram & Sons 1000

y Sabar 950y Hatsun Agro 800y Sterling Agro,Bhind 800y Sterling Agro,Etah 800


12/23


13/23

Imports Into Indiay From which countries do Indian Dairy Imports

happen ?

yDenmark , Nepal , USA , France , Netherlands & Italy


14/23

Margins Across ProductsyWhat are margin differences between traditional

and universal products ?

yTraditional products are far more profitable comparedto universal products as per literature


15/23

Universal ProductsyWhat is the size of markets of various Universal

Products ?

y

Cheese Market includes processed ch

eese ,mozzarella , cheese spreads , flavoured and spicedcheese

y Processed cheese is 60% of overall market

y Cheese spread is 30% of the market

y Total cheese market is Australian dollar 1663 million in2011 , was 662 million in 2008

y Urban market primarily growing @ 10%


16/23


17/23


18/23

Ice Creamy Ice Cream -

y Organised sector is 40% of the icecream market

y In rural market kulfi made locally is populary 8 cities account for 60% of total icecream consumption

y Per capita consumption is 500ml compared to 30 litresin the US

y Market size 800 million Australian dollars in 08


19/23

Yoghurt & Table Buttery Yoghurt

y Late entrant

y

Very small market as people prefer to make dahi at homey

y Table Butter

y 356 million Australian dollar in 08 to reach 608 ADollar in

2011y Average growth rate 20%

y In smaller villages makkhan is consumed instead of butter


20/23


21/23


22/23

Milk Powdery Milk Powder

y Estimated value of milk powder market in India is A$

1765 million and expected to rise to A$ 2164 million in2011 .Milk powder consumed in large quantities andalso exported to many other countries . Milk powdersare preferred substitutes to bridge the lean-flush as

well as regional milk production gap


23/23

Top 10 Dairy Companiesy Which are the top Dairy Companies in the world ?y Nestley Danoney Groupe Lactalisy Friesland Campinay Fonterray Dean Foodsy

Arlay DFA (Dairy Farmers of America)y Kraft Foodsy Unilever

the indian dairy industry overview

Documents